Data Location Rules Impede U.S. Digital Trade, Agency Says

Data localization rules are a major impediment for U.S. companies engaged in digital trade, according to an International Trade Commission report released Sept. 28.

The rules require data storage, management, and/or processing to occur in a single country. The ITC said such rules impede growth of digital trade by preventing companies from taking advantage of the cost, speed, and security advantages offered by cloud-based technologies.

Companies are affected by such policies in different ways, the agency said. Some are able to store their data locally with additional cost. Others cannot operate profitably in smaller countries with data localization policies, the ...